ACC561 Wiley Plus
Acc 561 Wiley Plus Write a paper of no more than 350 words after completing Exercise 19-17 in WileyPLUS in which you respond to the following questions: In this case, would it be better to use the variable or absorption costing method, and why? What are the benefits of the two methods? Which method would lead to the best decision when a competitor is submitting a lower bid for your product? Polk Company builds custom fishing lures for sporting goods stores. In its first year of operations, 2012, the company incurred the following costs. Variable Cost per Unit Direct materials $8.03 Direct labor $2.62 Variable manufacturing overhead $6.15 Variable selling and administrative expenses $4.17
Fixed Costs per Year Fixed manufacturing overhead $251,064 Fixed selling and administrative expenses $256,907 Polk Company sells the fishing lures for $26.75. During 2012, the company sold 80,800 lures and produced 95,100 lures. Don’t show me this message again for the assignment
(a)
Assuming the company uses variable costing, calculate Polks manufacturing cost per unit for 2012. (Round answer to 2 decimal places, e.g.10.50.) Manufacturing cost per unit $
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Attachments
Week 5 Assignment 19-17 Wiley.docx
